Office space in London 'doing well in stable market'

Office design news from Morgan Lovell

Published on 12-07-2010

Commercial property across Europe has begun to see improvements in both prime rents and yields over the last three months, new research has revealed.

Statistics from the CB Richard Ellis (CBRE) Europe, the Middle East and Africa Rents and Yields Indices showed improvements over the second quarter of this year in lease profits were primarily in the office interiors sector.

"While prime rents remained stable in most office markets, increases were registered in the key City of London and Paris markets," it noted.

Furthermore, the capital experienced the second-highest surge in lease fees, with a 6.3 per cent boost during the three-month period - beaten only by Oslo, which saw a 6.6 per cent rise.

This meant every square metre of office space was worth €657 (£549) per year in London at this time.

The news comes just days after CBRE announced central London's office space industry experienced an increase in activity, following a number of large deals near the end of Q2.

Posted by Adrian Norman